Big cash splash on NSW rail and roads

The Baird government will throw money at transport in a bid to bust congestion and has confirmed plans for an underground train station at Barangaroo in central Sydney.

Treasurer Gladys Berejiklian on Tuesday revealed a record $16.5 billion budget spend on roads and transport.

That includes $977 million in funding for the Sydney Metro North West, the rail link connecting the capital's northwestern suburbs to the CBD, and $120 million to continue work on running light rail through the CBD and southeastern suburbs.

The government will also commit $1.7 billion in 2015-16 to Sydney's WestConnex road plan with $180 million earmarked to ease congestion at notorious pinch points on Sydney roads.

"The 2015-16 budget reinforces the NSW government's ongoing commitment to unclog crippling congestion and get people home sooner," said transport minister Andrew Constance.

"Hundreds of buses will be removed from the crowded CBD every day following the completion of light rail."

The budget also includes $84 million to continue the development of a rail crossing under Sydney harbour, which will run to a planned underground station at Barangaroo.

"The addition of a Sydney Metro station is a game-changer for Barangaroo and the tens of thousands of people who will work there every day," Premier Mike Baird said.